Initial Treatment Determines Workers' Comp Costs.

A new study of workers' compensation medical networks determined an initial nonemergency visit to a network medical provider by an injured worker plays a significant role in managing workers' comp costs.

Both this study and an earlier one by the Workers Compensation Research Institute reported treatment by network health-care providers reduced medical costs without increasing income benefit costs. This study also finds that the likelihood of continued network care is much greater if the injured worker's first nonemergency visit is with a network doctor.

The study, "The Impact of Initial Treatment by Network Providers on Workers' Compensation Medical Costs and Disability Payments," reaffirmed earlier studies that found workers' comp networks generally are associated with lower medical costs--16% to 46% lower if the patient is treated exclusively by network providers and up to 11% lower if the treatment is not exclusively within network.

The study also found that lower network medical costs don't raise indemnity benefit costs among claims treated in networks. Indemnity benefits are paid to compensate injured workers for wages lost while they are away from their jobs.

The study is based on nearly 300,000 workers' comp claims in eight states and 20 workers' comp networks. To purchase the study, visit www.wcrinet.org.